FORM 1040 plus FORM 1116 or FORM 1040 plus FORM 2555 for foreign earnings?

Hello,

Need some general advice on the right forms to file.

For someone who doesn't have to report FBAR for 2012's income (account was never $10,000 at any point during the year), has earnt under $22,000 in UK income in the UK for 2012, is a British Citizen/US Citizen and living in UK for the last couple of years, is the correct order of forms to file form 1040 and form 2555, or form 1040 and form 1116?

Appreciative of any help!

Given your foreign earned income, it looks like you can file either the 1116 or the 2555. Do your taxes both ways and file the way that gives you the best result

If you decided to exclude all your earned income you maybe able to use form 2555EZ rather then the long 2555 form. Some on-line tax preparation software will not allow the 2555EZ form, so you have to wade through superfluous questions of the long form. Excluding your income is the simple method, but it's important to see if taking the credit is more beneficial to your circumstances.

Just quickly skimming through your old posts, back in 2009 you had mentioned a baby boy. If he is still in your and a US citizen you should be filing the 1116 and claiming the refundable child tax credit each year (unless you really don't want the $1,000).

I don't have kids, I suppose I could do both forms and figure out if I could get any money and blah blah whatever.

Or I could take 10 minutes to do the 2555EZ and not worry about money that I don't have and don't know I could get. I know which is easier for me in the end.

I took that point of view for some years, then discovered there were further considerations since I was in a UK pension plan and my employer was making contributions to it. If you are in a similar position, you should check out this angle.

Thanks Guya, Marty et. al,

Yes I have a baby boy as well - unfortunately I got to this thread again for the new replies a little too late as I had sent off the forms by then, but will try for next years return ($1,000 with Camoron's planned changes to tax credit here would be most welcome). 

You can amend a return after filing by filing a Form 1040X.